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First Move with Julia Chatterley

Protests, Strikes Against Judicial Reforms Paralyze Israel; First Citizens Bank buys Assets of Silicon Valley Bank; Tim Cook says "Apple and China Grew Together"; U.S. Stocks Higher, Deal Announced for SVB Assets; Zipline Unveils "Instant Delivery" Drone System; Paltrow Undergoes Unusual Lines of Questioning on Stand. Aired 9-10a ET

Aired March 27, 2023 - 09:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

[09:00:00]

(COMMERCIAL BREAK)

ELENI GIOKOS, CNNI HOST: A warm welcome to "First Move", I'm Eleni Giokos; I'm in for Julia Chatterley. Now lots to get into this hour including

Netanyahu's next move, pressure growing on the Israeli Prime Minister's intentions to scrap his highly controversial judicial overhaul amid

widespread protests and strikes the Israeli President again urging Netanyahu to change course, we'll have the latest from Israel coming up

just ahead.

Plus, Cook's confidence Apple CEO hails China's importance to his firm during the visit to Beijing soothing words amid the upsurge in tech

tensions between China and the U.S also Alibaba's Jack Ma returning to Mainland China after a year-long absence.

What does all this mean for China's tech sector and we'll have a live report coming up. Now on financial markets, U.S. futures and European

stocks are on the rise of selling pressure in the banking sector eases shares of Deutsche Bank which fell as much as 13 percent on fresh banking

uncertainties on Friday are up some 4 percent in European trading.

Right now, as you can see, it's green across the board as well in the U.S. and in Europe much more on the financial sector, including a multibillion

dollar deal for the assets of Silicon Valley Bank coming up in just a moment. But first, Israel as a standstill, historic protests taking place

in an effort to end Prime Minister Benjamin Netanyahu's controversial plans to overhaul the judicial system.

The country's largest trade union, calling on a general strike and workers and other sectors joining in including nurses, Israel's main airports,

shopping malls, and even McDonald's are also affected by the strike. Meanwhile, Prime Minister Netanyahu is calling on demonstrators to "Behave

responsibly and not to act violently".

Barak Ravid is live in Tel Aviv with the latest for us. Unprecedented images, we're seeing unprecedented strike action shutting down of major

entry points into Israel. And then importantly, it seems that there is some kind of coordinated action we understand between the unions and the private

sector. Could you give me a sense of the situation that's playing out on the ground right now?

BARAK RAVID, MIDDLE EAST CORRESPONDENT FOR AXIOS: Well, I think right now, if you look at almost every part of the country, that you'll go, you'll see

demonstrators protesting against the judicial overhaul right now, according to the police assessments. There are 70,000 protesters in front of the

Israeli parliament, the Knesset.

There are also planned protests later today in Tel Aviv, and in other parts of the country. And again, the major change today was this general strike

that was announced and it's pretty unprecedented. I don't think that anybody remembers when there was a general strike not in one sector in the

country, but in every sector, including the airport, in the seaports.

And even again, there, I think most of the shopping malls in Israel are closed because of that, because of this coordination between the unions and

the private sector, which is, as you said, quite unprecedented.

GIOKOS: Yes, it's remarkable to actually see what's going on in the ground. In terms of messaging from the Prime Minister, this is going to be vitally

important. I mean, the unions have used the words that this madness must stop, but it seems that Netanyahu and his government are digging in their

heels. But with images like this and a total shutdown, it will be interesting to see what the messaging will finally be?

RAVID: Yes, I think that if the strange thing is that several hours ago during the morning, a lot of people from Netanyahu's party members of

Knesset and Ministers, said that he's going to announce that he's standing down that he's suspending the legislation. He had the speech ready for 10

am, then it was postponed to 10:30, then to 11 and then it was postponed indefinitely.

And it's not clear really what happened. There are several options. One of them is that one of his coalition partners the far right Minister, Itamar

Ben-Gvir told them that if he suspends the legislation, then his party will leave the coalition which could dramatic destabilize it.

[09:05:00]

And Netanyahu again is discussing this issue with not only people from his party, but people from his family. And one of the most influential people

on his decision making is his son, who's much more radical and extremist then Netanyahu himself. And he's pushing him to move ahead with the

legislation.

And I think that in a few hours, there are also planned protests of right wing activist who support the judicial overhaul. And there's a real concern

that when you have it more or less the same area thousands or tens of thousands of people that are demonstrating against the judicial overhaul

and in favor, this could lead to violence.

GIOKOS: And that's a concern. And of course, you know, reiterating Benjamin Netanyahu's tweeted earlier, calling on everyone to stay calm. Barak Ravid,

thank you for that update, great to have you on the show. For more on this, now, we've got Peter Lerner joining us.

He's the Head of International Relations at Histadrut, Israel's largest trade union. He's also a Former Spokesman for Israel's Defense Forces, sir

great to have you with us. We've already said that this is unprecedented coordination that we've seen from multiple stakeholders, your Chairman,

says that this madness must stop.

I want you to give me a sense of what your plans are right now and how long you're planning, intending to strike?

PETER LERNER, DIRECTOR GENERAL OF INTERNATIONAL RELATIONS AT HISTADRUT: Thank you so much. So the general strike called this morning is basically

an open ended strike. We want Netanyahu to listen, he has to listen to the people, he has to listen to all the people and he has to stop the

legislative reform. Now, before it's too late, the country is coming to a standstill.

We've declared the strike this morning and we've seen almost all sectors, public, private businesses are heeding to our call and agreeing that this

needs to stop. So what needs to happen now is Netanyahu needs to listen to the - what the people are saying he has to stop this madness and it's his

responsibility. That is our message.

GIOKOS: Peter, you know, another thing that was fascinating in terms of your messaging from your chairman, that doesn't matter left or right,

there's no politics here. It is no longer possible to polarize the nation and divided by sector by sector. Are you getting the sense that you've been

able to work closely with the private sector across various platforms?

Do you feel that there isn't this cut across people who have, you know, ideology philosophy of whether they're right or left side of the aisle?

LERNER: So our organization that has the group includes all of the political parties, our leadership, our governing body, if you may, has all

of the political parties, including the Likud, and I can say the person that enforced the stock at Ben-Gurion airport this morning, is a member of

the Likud and even a Former member of Knesset.

So I would say we represent the workers, we represent all of the workers in Israel, across all of the political platforms, and therefore the government

needs to listen to us, I'd say, over the last 12 weeks, our message to the government has been be like the history route.

See how we are able to manage our business across all of the different political differences? That is, it we can do it and this year is our 75th

anniversary, it's our independence for 75 years. Histadrut is concerned what is going to happen in the next 75 years. And that is why we are saying

hope this madness, come to the table and make sure that everybody is listened to. We can't let this continue anymore.

GIOKOS: Let's go through the judicial reforms. The one is the way that judges are appointed. The second is that is an overriding clause, which

give the Israeli parliament the power to pass laws previously ruled invalid by the court. And then of course, the third is it would make it more

difficult for a sitting Prime Minister to be declared unfit. Are you opposed to all three of these major judicial reforms?

LERNER: So if you saw the message that the Chairman put out, you saw that he actually didn't touch on the specifics. I think, you know, what is the

dealing in so much details have created this complete sense of strife and friction, and that is bringing the people out and what we are calling is

stop it in its track, stop this madness, and make the people feel that they belong, whether they voted for you or not.

[09:10:00]

And this is why we're not going into the specifics of the political details. You know, there are all things that you know this government was

elected but they are elected to rule all Israelis, not only half of the people, you know, there are hundreds of thousands of people that are

unhappy, they must be listened to, they cannot be ignored.

GIOKOS: I also want to talk quickly about the Defense Minister getting fired, showing some kind of opposition to what is going on, on the reform

front. That was quite an interesting move in the same breath; you're seeing international concerns, people raising a lot of issues with regards to

what's going on in Israel. What is your sense of this move to find the Defense Minister?

LERNER: So the move to find Defense Minister Gallant was the last straw from defense perspective, that was what caused all of this action to take

place this morning, because he didn't, contrary to what you've said, he didn't oppose the plan. He raised professional concerns from a defense

perspective.

Now, Israel, we are still 75 years on surrounded by enemies. We have Iran that the Chairman of the Joint Chiefs of Staff just last week said that

they are potentially two weeks away from nuclear fuel, and a few months away from a nuclear bomb. We have serious security concerns.

I can say from my former positions, and from my former understanding, when the Defense Ministry talks, the people listen, and this is when we saw

hundreds of thousands of people coming out last night. Now they were already in their pajamas, ready to call it a night, and this happened and

hundreds of thousands of people came out to say you cannot let our security, our defense be left for narrow political needs.

This is much larger than the political reforms. The Chairman also he said, we can't argue about one judge here or two judges here. There's much

larger, much grander things that we need to be concerned about.

GIOKOS: Peter, I'm also curious how you members feel about the rhetoric genuinely out of the governments over the past few weeks. And I want to

just, you know, focus on what the Finance Minister said, again, causing international concern, denying the existence of Palestinian people or

nationhood. And is this also one of the things that are causing concern within your members and your stakeholders?

LERNER: So the Chairman, Arnon Bar-David said this morning, that we need democracy, and we need equality. And we need to keep in mind that the

situation in this region is volatile. And you know, when politicians are and Ministers are expressing themselves in ways which jeopardize the

political stability here, then we are of course concerned.

But as I said, there are you know, the political built up of our organization is one where everybody has a voice, where people can reflect

that their political positions, but when it comes to worker's rights, and when it comes to defending the people of Israel and the workers of Israel,

then we all come together. So we put the priority of worker's rights.

GIOKOS: Very quickly, you will not stand down; your members will not stand down unless Benjamin Netanyahu says that they will hold these judicial

reforms as a whole.

LERNER: As I said, the strike is open and I'm happy to hear that there are some rumors coming out just over the last few minutes, that there is a

potential there that he may be considering to hold it, we'll have to see.

But you know, we have ports, we have airports, we have shopping centers, we have the public service, the public sector, that the Israeli embassies

around the world are shutting their doors to diplomacy. And you know we have to be concerned about where Israel is going. And we have to make sure

that Netanyahu understands the gravity of his actions.

GIOKOS: Peter Lerner, thank you very much for your time, I appreciate it. He was a Head of International Relations at Histadrut. Thank you so much,

sir, for your time. Well, it has been called a deal that will help instill confidence in the U.S. banking system, Regional Bank, First Citizens has

agreed to buy the assets of failed Silicon Valley Bank.

All of this as the U.S. Congress begins hearings this week on what led to the collapse of SVB. Matt Egan joining me now, this is a big move. We knew

that someone was going to come in at some point in time and hopefully this will allay fears of the health of the banking sector but we're anticipating

some kind of consolidation with the bigger guys are stronger names are going to be looking at the weaker players.

MATT EGAN, CNN REPORTER: Eleni, you know this is a major milestone in this banking crisis. The FDIC was able to find a buyer for Silicon Valley Bank.

Just an over two weeks after this bank imploded became the biggest failure since 2008.

[09:15:00]

And so yes the hope is that this sort of provides some closure to this chapter and also instills some confidence in the banking industry at large.

Looking at some of the details here, the deal includes $72 billion of loans that Silicon Valley Bank held at a $16.5 billion discount.

The FDIC is going to share in potential losses and recoveries in some of those loans. And this bank failure is going to end up hurting the FDIC

insurance fund by about $20 billion dollars. That is a significant number, but given the scale of this bank failure, you know, it could have actually

been a lot worse.

And so in case you haven't heard of citizens, bank of First Citizens Bank, they are based in North Carolina, and this deal is actually going to make

them a top 25 U.S. bank. They kind of specialize in buying failed banks. They say that they've done more FDIC assisted transactions since 2009, than

any other bank.

And so all of this comes ahead of tomorrow's hearing Senators are going to be asking questions from top 3 U.S. banking regulators, and then a House

hearing on Wednesday. And I think that, you know, the regulators are going to be under pressure to answer the 2 central questions.

One, how did they miss the red flags here? And two, what are they going to do to prevent future failures, Eleni?

GIOKOS: Two vital questions, hopefully, we'll have some answers. Matt Egan thank you so much for joining us! As you can see, First Republic is up

almost 80 percent. All right, meanwhile, First Citizens Bank SVB deal brought a much needed respite to European banking stocks.

The stocks Europe 600 banks index, which tracks 42 big banks in the EU and U.K. kicked off the week higher. Deutsche Bank is also recovering after

sinking 8.5 percent on Friday on worries it could be vulnerable to a crisis of confidence. Clare Sebastian joins me now. It is all about confidence

clear, isn't it - recuperated loss on Friday, but they are coming back some of those losses what's going on in the background?

CLARE SEBASTIAN, CNN CORRESPONDENT: Yes, I think there's a sense, Eleni, that the clouds have parted a little bit the Silicon Valley Bank deal in

the U.S. has brought some optimism that at least behind the scenes. Regulators are still working to tidy things up, as you say not enough of

the gains this morning to recoup those losses on Friday.

You get the sense that some people are still not confident enough that we're over the worst to come back into the banks. Plus, yes, it's common,

but it's not completely gone. Deutsche Bank, for example, was up 6 percent at the open then fell back quite a bit now up 6 percent again.

So it is still pretty volatile out there, having said that there are other signs of calm safe havens coming down bit gold are down a bit. Oil is up a

bit, which suggests a little more optimism about the state of the economy, Eleni.

GIOKOS: Yes, and you know, a lot of this swirling around what we've seen generally in the banking sector, whether it's what we saw in the U.S. or

even Credit Suisse in Europe. In the meantime, the Saudi National Bank Chairman Ammar Al Khudairy has resigned his post. We know that a lot of

what he said. We were concerned that contributed in some way to the speculation on Credit Suisse. What's the latest on that?

SEBASTIAN: Yes, so they're not linking his decision with what happened. The Saudi National Bank saying in the statement that this was due to personal

reasons that he's resigning, but it came 12 days after he essentially ruled out putting more money into Credit Suisse.

Absolutely not, were the words that sent the share price off a cliff. Obviously, events that followed eventually led to Credit Suisse collapsing.

Look, it's impossible to know if he hadn't said it, would it still have collapsed? But the timing was difficult coming off the back of the Silicon

Valley Bank demise in the United States.

All the scrutiny of the banking sector, it was a real trigger point for the markets. And of course, the Saudi National Bank as well had put a 1.5-

billion-dollar stake into Credit Suisse, a real anchor investment in its turnaround and they have taken a big loss as well. So while they're not

linking the two, it's hard to imagine they're not completely unrelated, Eleni.

GIOKOS: Yes, that's all about what you said at this point. Clare Sebastian, thank you so much, great to see you. Meanwhile, nationwide strikes across

Germany the biggest in decades of causing disruption at airports, on buses, trains and the country's biggest port the disputes over pay, of course.

Meanwhile, in France, President Macron is meeting his cabinet to discuss continuing unrest over pension reform. Sam Kiley is in Paris for us. This

not subsiding discontent being felt and I think Macron and his government need to listen.

[09:20:00]

SAM KILEY, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, Macron's government in a sense can carry on with the legislation as it is largely

already on the statute book, Eleni that is the problem that the opposition to this legislation have. And this is a plan, a rather a bill to rise the

pensionable age in France from 62 to 64 in most cases.

Now, that has already gone through the National Assembly by executive fit. It is that use of that presidential power that allowed the Macron

administration to shove it through the legislature without having a vote because they thought the vote would go against them.

That in part has triggered this opposition levels of demonstrations across the country more expected tomorrow alongside strikes already affecting

Paris, and other parts of the country, particularly in Paris, of course, very obvious strike on refuse collection, which has resulted in enormous

piles of garbage throughout the city.

But it's also affected schools, transport and every aspect of the economy going back to the first major demonstrations, which were in the middle of

January, but Macron has said he's not returning. He has been trying indeed to get his government to broaden its coalition within the National Assembly

and meetings today.

And he shows every intent to try to weather this storm as his opponents continue to expand the scale of the storm. And the issue really is how

violent it's going to get over the weekend. There were very violent clashes associated with a separate subject, an ecological demonstration against

some plans to build some reservoirs for farmers.

That turned very, very violent indeed, with police vehicles being destroyed and burned. At least one demonstrator currently in a critical condition in

hospital following alleged beating by police a number of injuries among the police and there are reports are certainly concerns that those same groups

that were violently clashing with the police over the weekend. We'll be attending the demonstration here in Paris tomorrow, Eleni.

GIOKOS: Alright, Sam Kiley, thank you so much. Coming up on "First Move", Tim Cook back in Beijing, what he says about Apple's relationship with

China. Plus, more on the historic protests in Israel, the latest developments coming up, stay tuned.

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[09:25:00]

Right, Tim Cook is in China, the Apple CEO is one of the leaders of global companies attending the government organized China development forum. And

he stresses his company's ties with a country saying, "Apple and China grew together". Marc Stewart joins me now with more. A very sensitive time, I

would say between tech companies, U.S. and China. Interesting to hear Apple CEOs, Tim Cook's messaging him.

MARC STEWART, CNN CORRESPONDENT: Well, as you know, Eleni, whenever a CEO, a big CEO like Tim Cook makes a business trip, it often makes news. But his

trip to China comes at a moment of high optics and high political tension between the two nations. I believe we have a picture that Tim Cook took

from his visit to an Apple store when he was in China.

His visit though came a day after the CEO of TikTok made a high profile appearance in front of a congressional committee in Washington D.C. Of

course, TikTok being a Chinese made app in which the CEO face some strong grilling about national security concerns. Yet we have Tim Cook in China

celebrating Apple's success in China.

Obviously, Apple has a large retail presence in China, but it also has a lot of manufacturing, and it has helped the company grow. That's not to say

there haven't been challenges. China obviously was under a very long COVID lockdown that impacted the supply chain of Apple products.

It has seen some labor tension at the world's largest iPhone manufacturing facility in China, which is operated by Foxconn. So he's had to contend

with that and that's not to say that Apple hasn't looked outside of China. But if you talk to analysts, Eleni, in this current environment, China, at

least for a while, will be a very big part of Apple's footprint, its blueprint for the future. And that's why this visit was so important and so

significant.

GIOKOS: Well, in other news making headlines, Alibaba Founder, Jack Ma sighted seen in Mainland China. He hasn't been there for I think, for over

a year from what our reporting is telling us.

STEWART: Indeed, I remember when I was in New York, talking to some of my colleagues there a few months ago about where is Jack Ma, and now we have

seen him make his presence known at least publicly in Mainland China. Although his spokesperson has said that he does make they travel through

China frequently.

But perhaps this could be signaling a political moment, at least in China's business environment. As we have seen in recent years, there has been a lot

of crackdown on regulation at a time when China needs to grow and attract the business community.

So perhaps this was calculated to have Jack Ma make an appearance at a time when China wants to appeal to the West, appeal to be a friendly business

environment. And so therefore, we see this appearance today. He was at a school I believe, Eleni, and of course it's generating headlines and

discussion around the world.

GIOKOS: Thank you so very much. Great to see you Marc Stewart there for us! And still to come. The President of America's largest Manufacturing

Association joins me to discuss boosting its partnerships in Europe that's after the break.

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[09:30:00]

GIOKOS: Welcome back. Massive protests taking place in Israel right now against Prime Minister Benjamin Netanyahu's plan to overhaul the judicial

system. Parts of the country brought to a standstill after Israel's largest trade union called historic strike. Mr. Netanyahu urged demonstrators to

behave responsibly in a tweet but he has yet to address the country directly. Hadas Gold has more for us.

HADAS GOLD, CNN JERUSALEM CORRESPONDENT: Eleni, protesters continue to stream down Georgia Supreme Court and the Israeli parliament behind me, all

of them protesting against this massive judicial overhaul and especially how Benjamin Netanyahu fired his defense minister after the defense

minister on Saturday evening made his own televised speech, calling for the reforms to be halted frozen in place because he worries what the

divisiveness over these reforms is doing to Israeli security.

But 24 hours later, the defense minister was fired. Massive protests were then sparked throughout Israel, especially in Tel Aviv; they went late into

the night. And they actually, I have to say that they were angrier and more violent than protests we've seen over these last 12 weeks or so against

this massive overhaul.

Now to remind you, this judicial overhaul would essentially place much more power into the hands of the Israeli parliament into the politicians from

everything from how judges are selected to even potentially the ability to overturn Supreme Court decisions with a simple majority.

Earlier today, Israel's largest trade union announced a massive strike. This is the largest strike in Israeli history. It's affecting everything

from universities, to nurses, to the shopping malls, even the ports. The Israeli airport at some point, even McDonald's has been shut down as a

result of this massive strike. And instead, people are taking to the streets.

Now Benjamin Netanyahu was largely expected according to the Israeli media reports to make a statement earlier this morning announcing that he was

going to actually hold the legislation essentially heeding the call from a growing and growing chorus of people across the country, but so far, we

have not heard from him.

All we have heard from him is a tweet where he called on demonstrators in Jerusalem on the right and the left; he said to behave responsibly and not

to act violently. We are brotherly people. There are fears Eleni that this divisiveness what we're seeing on the streets that it could lead to

potential bloodshed.

The Israeli president warning several weeks ago that he fears that this could lead to a civil war everyone is now waiting on Benjamin Netanyahu to

come forward at least make a statement say whether he is going to heed the call to freeze legislation or whether he is going to push forward, Eleni?

GIOKOS: Alright, big thank you to Hadas Gold for that updates out of Jerusalem. Turning now to the financial markets U.S. stocks up and running

on Wall Street. All the major average is higher in early trading and selling pressure on the banking sector eases S&P and the NASDAQ coming off

the second straight week of gains as you can see DOW Jones up almost 1 percent, NASDAQ up three tenths of a percent.

We've also got a positive day for the S&P 500. This is on the back of uncertainties facing the financials that created quite a bit of worry over

the past two weeks. Regional Banks are higher as well amid news that assets of the Silicon Valley Bank have been sold to North Carolina based First

Citizens Bank. And a multi-billion-dollar deals that taking a bit of pressure of financial stocks.

[09:35:00]

From just as in global financial markets to strengthening global trade, the National Association of Manufacturers is the largest Manufacturing

Association in the United States its members coming from every industrial sector, and all 50 U.S. States.

Its latest survey found that nearly two thirds of manufacturers said Europe is an important market for their company with 77 percent supporting new

trade agreements with European countries. NAM President Jay Timmons is currently in Europe. He's meeting with the World Trade Organization,

government officials and his counterparts at European trade associations.

Now ahead of this trip, he said by advancing an ambitious trade agreement agenda, we can ensure that the U.S. and not competitors like China writes

the rules for the global economy and trading system. He joins me now, Jay Timmons as President and CEO of the National Association of Manufacturers.

Jay, great to see you thank you so much! You're meeting with WTO officials, you've got government officials. And that's that - I have to say a lot of

people won't agree with me is nothing more exciting than talking about trade and manufacturing. Have you reached consensus? Are you able to

catalyze and create momentum with some of the things that you're discussing?

JAY TIMMONS, PRESIDENT & CEO, NATIONAL ASSOCIATION OF MANUFACTURERS: Well, Eleni, I don't think anybody disagrees that the people I've been meeting

with anyway, that trade is a good thing. It's good for the economies of the countries that are participating in the trade agreements; it's good for the

workers. It's good for just building a better quality of life.

So, we have consensus on that. But as you might guess, there are some differences in how to approach trade agreements, even though most would

like to see more trade agreements with the United States. I look at that, really, as just a few bumps in the road, because we have so much more that

we that we agree on the values that we share, and trade and commercial relationships, help build and sustain democracy.

So that's really our message, whether it was at the WTO, or in Poland, or Germany, now here in United Kingdom, and we'll be going to Brussels and

France as well.

GIOKOS: You know, here are the reality with trade negotiations, are that there's a lot of, you know, delay, and this isn't a time for, you know,

slow action. What don't you agree on, that needs to be thrashed out, would you say? I mean is there something that you really worried about in terms

of finding consensus?

TIMMONS: I'm an optimist, I have to tell you, I think we can find consensus, because the imperative has never been greater. But if you think

of things like different standards or different regulatory environment, between, say, United Kingdom and, and the United States or the EU and the

United States.

Or you think about the concerns that we have, and that we've addressed directly, with, with the Director General Ngozi WTO, concerning the trips

waiver. And the, you know, the intellectual property protections that are so important for manufacturers to be able to invest in and develop new

technologies, or in this case, new therapies and cures for diseases, there are a few issues like that, that we need to overcome.

But ultimately, it's best for promoting democracy, to be able to, to have these types of relationships with your allies and your partners that that

you've been able to the friendships that you've been able to grow over the years. We've shown that in North America, with the North American Free

Trade Agreement, Canada, U.S. and Mexico. And I know that we can do that around the world.

GIOKOS: I'm glad you mentioned, the Director General Ngozi Okonjo-Iweala, she acts very fast. And quite efficiently I have to say even with the

stickiest of topics. But how do you think this translates for the U.S. manufacturing sector, which I guess really did get a boost during the

pandemic because there was so many trade routes that shut down, you know, a lot of countries had to look inwards for solutions.

You want to capitalize further on that momentum. And you even said in your comment that you want to be the ones writing the trade rules and not, you

know, allowing competitors like China to write the rules for the global economy.

TIMMONS: So, look, I think that we want to see democracies and free market economies writing the rules, instead of autocracies and command economies.

We have so much more in common with, let's say, the European Union, United Kingdom, Japan, Australia.

So many other allies around the world that see things through the same free market lens that we do in the United States they also happen to be

democracies now they are committed to democratic principles.

[09:40:00]

At the National Association of Manufacturers, we talk about exceptionalism as defined by free enterprise competitiveness, individual liberty, and

equal opportunity, those four pillars help sustain a thriving economy, they also help us to sustain our democracy. So, I think that's really what we're

talking about.

That doesn't mean that we're not going to trade with other nations around the world. Tim Cook just made that point on your broadcast. Look, China is

a huge market. And for China, the United States is a huge market, we have to come to terms within disagreements that we have there. But I think we

can do that. But with countries like Russia, Russia has made it--

GIOKOS: Is it a reality for you, Jay, sorry. Do you feel that it's becoming a reality for you that as you know, the tech sector under the spotlight

with ByteDance, do you feel that translating into negative realities for the relationship between what we see on the U.S. manufacturing front versus

what we see coming through from China on the trade front?

TIMMONS: So, I think you have to take each instance on a case-by-case basis, as I started to say Russia has made itself a pariah to the rest of

the world. China, however, seems to want to have a continuing relationship with economies around the world. So that's the starting point.

Where do we agree, and there are many areas where we do or some pretty obvious areas where we don't intellectual property being one of those. So I

think I think we have to look at each one of these on a case by case basis. But ultimately, we do have to strengthen our own supply chains.

As you said, those 77 percent of manufacturers in America want us to expand trading relationships, especially with our European allies, because we have

a sense of shared values.

GIOKOS: Jay Timmons, great to speak to you, thank you so very much. Great to have you on the show! That President and CEO of the National Association

of Manufacturers! Coming up after the break, we've been promised deliveries by drone for over a decade. And our Zipline says it has found a way to do

the job without those noisy buzzy engines, details coming up right after this.

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GIOKOS: For some time now on "First Move", we've been tracking the progress of Zipline; the drone service has been delivering blood to clinics and

hospitals in Rwanda for the last seven years. Now the company has come up with a new autonomous home delivery system.

[09:45:00]

While the drone hovers high above, the drop off location a droid is released on a wire which can quietly deliver package weighing up to six to

eight pounds with precision accuracy into a garden table or even on a front step. This is crazy. The company says it means deliveries are up to seven

times faster than by traditional methods and generate fewer emissions and even electric vehicles.

Keller Rinaudo Cliffton is the Co-Founder and CEO of Zipline, joins me now. I have been at the start of this journey with Zipline. Actually, I think I

did my first interview in Rwanda, I can't remember what conference it was at. And it sort of sounded like a pipe dream. And here you are today,

you're coming up with a quite an easy way to do this. So firstly, congratulations, I want you to take me through how you've evolved.

KELLER RINAUDO CLIFFTON, CEO AND CO-FOUNDER, ZIPLINE: Thank you. Yes, I remember that first interview. I mean, when we originally launched in 2016,

in Rwanda, we were serving 21 hospitals. And today Zipline serves 3400 hospitals globally, with this autonomous logistics service, which can

reduce costs and save lives for governments.

By the end of this year, we'll actually be serving 10,000 hospitals and health facilities just based on existing partnerships. And the next

generation service that we launched really came from this feedback that we're getting constantly from customers, which is, we also really need a

system that can do autonomous, instant logistics directly to homes.

And so, this next generation technology will be able to deliver directly to 99 percent of homes seven times as fast, less expensive, and zero emission

as compared to traditional logistics today.

GIOKOS: Wow. OK, let's talk about what can go wrong in these deliveries. And you know what you've learned along the way.

CLIFFTON: I mean, you know, operating in the real world is always challenging, you're dealing with whether you're dealing with people you're

dealing with nature and Zipline has now crossed 40 million commercial autonomous miles. To put that into perspective, that's about 80 times to

the moon and back, and all of that with zero human safety incidents.

So we build levels of safety and redundancy that you'd find in traditional aviation, if you're flying on a 787, build similar levels of safety systems

into these smaller, less expensive vehicles so that it's not just safe. It's not just impacting the health of those that we serve; we also have to

guarantee that we're safe for the populations that we fly over.

So, they're always dealing with things like whether we're dealing with things like human safety factors, when we're delivering our things that

Zipline has spent the last seven and a half years, really perfecting across eight different countries.

GIOKOS: And it's, its incredible, but you need to have the right partnerships in place. You need to I mean, there's a lot of things that go

on in the background. What is your ambition, you've clearly been able to solve one of the biggest problems facing the African continent at least,

that's logistics and access to healthcare. So, what's the plan going forward?

CLIFFTON: Well, first of all, the work that we do in Africa is expanding dramatically. As part of this announcement about this next generation

technology, Zipline also signed a big new partnership with our first country ever, which was Rwanda. There, we're expanding to serve every

hospital and health facility in the country, including the facilities that are in urban parts of the country, like in Kigali, which we couldn't serve

before.

We've also expanded into animal health care, more broadly into childhood malnutrition, and even e-commerce and General Logistics in the country. So

that partnership has grown very, very fast. But also we start to, we're starting to see health systems in countries like the U.S. or Japan start to

say, hey, we're seeing this technology, saving money and saving lives and other parts of the world.

We want to use it to do the same here. And so Zipline has partnerships in the U.S., for example, with multi-care, Intermountain Healthcare in a

Michigan medicine, a number of other large healthcare systems that are wanting to use instant logistics, automated logistics to treat patients

closer to where they live, save money and provide new paradigms of care that can be particularly impactful for people who have a hard time

accessing that normal healthcare system today.

GIOKOS: Yes, and lower in emissions, which is also exciting, I think better than electric vehicles. Keller Renaudo, thank you so much for joining us

always good to speak to you! I'm sure we'll catch up again very soon on your next plans and some of the work you've been doing. Great to have you

on! All right coming up on the show, Gwyneth Paltrow of Paltrow an unusual day on the witness stand for the Oscar winning actress Friday we'll preview

what is coming up this week as the Paltrow skiing accidents civil trial continues, stay with us.

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[09:50:00]

GIOKOS: The second week in the Gwyneth Paltrow ski accident trial is about to get underway in Utah. Paltrow's husband and children could also take the

stand as well as the man suing the actress for allegedly crashing into him on the slopes and causing lasting physical harm. We've got Chloe Melas

joining us now to give us a break down. This has really gained a lot of interest. I mean, people watching this quite closely, why?

CHLOE MELAS, CNN ENTERTAINMENT REPORTER: Well, I think that because Gwyneth Paltrow is such a huge star. She's an Oscar winning actress. She's known

all over the world. And she's a businesswoman and entrepreneur with a really successful company called Goop. And so, I think that all eyes are on

this because it sort of feels like it came out of nowhere, although it was seven years in the making, with Terry Sanderson trying to bring this civil

suit and ultimately being successful in doing so.

And also, it's televised and not normally is these court cases televised. So, we saw Gwyneth Paltrow take the stand on Friday. And there was a bit of

a bizarre line of questioning at least that's what people were saying on social media from Terry Sanderson's attorney and we have some clips in case

you missed it. Take a look.

(BEGIN VIDEO CLIP)

KRISTIN VANORMAN, SANDERSON ATTORNEY: May I ask how tall you are?

GWYNETH PALTROW, ACTRESS: I'm just under 510.

VANORMAN: OK, I am so jealous.

PALTROW: I think I'm shrinking though.

VANORMAN: You and me both. I have to wear four-inch heels just to make it to five, five.

PALTROW: They're very nice.

VANORMAN: Thank you. You were wearing goggles a helmet?

PALTROW: Yes.

VANORMAN: OK, kind of look like everybody else on the slope.

PALTROW: That's always my intention.

VANORMAN: OK.

PALTROW: Probably had a better ski outfit though. Are you good friends with Taylor Swift? No?

UNIDENTIFIED MALE: Overruled.

VANORMAN: You're not good friends with Taylor Swift?

PALTROW: I would not say we're good friends. We are friendly.

(END VIDEO CLIP)

MELAS: So safe to say TikTok social media users that whole younger generation are having a lot of fun with these viral moments, these meme

worthy moments. You know, like Taylor Swift, the reason that she brought up Taylor Swift's name was because Taylor Swift sued the DJ a few years ago

claiming that he groped her and she sued him for $1. It was symbolic and damages. She won.

Gwyneth Paltrow was countersuing Terry Sanderson for $1. And that's where the attorney got that. So, we expect that Terry Sanderson might be taking

the stand today, like you said, and then we might be hearing from Gwyneth Paltrow's children this week. But we do expect things to wrap up later on

this week.

And we'll see who the jury believes because all we have are testimonies from both sides. There's no you know, video evidence from that day. So,

it's really going to come down to who the jury believes more.

GIOKOS: Well, I hadn't seen that and I was wondering what is going on? I was its almost surreal watching that line of questioning, Chloe, thank you.

I'm going to try and tune in more to see all the excitement in the court. Chloe Melas, always good to see you, thank you.

[09:55:00]

All right, Britain's Prince Harry is at London's High Court today. The Duke of Sussex is attending a hearing and his case against associated

newspapers, the publisher of The Daily Mail. The prince and several other high-profile figures allege that the media group tapped phones and used

other unlawful methods to gain private information.

So, Elton John, and actress Elizabeth Hurley and Sadie Frost are also claimants in the case. The publisher has rejected the allegations, calling

them "Preposterous smears". Well, that's it for this show. I'm Eleni Giokos. I'm in for Julia Chatterley. Thanks so very much for watching us.

"Connect the World" with Becky Anderson is up next. I hope you have a great start to the week.

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